This situation is unfortunately more common than it should be, especially with small businesses. Here are some immediate steps you can take: 1. **Document everything** - Take photos of your checks and keep a detailed log of hours worked vs. pay received. This will be crucial evidence if you need to file complaints. 2. **Request a meeting** - Ask your boss for a sit-down conversation about payroll. Come prepared with specific questions: "Can you show me how you calculate my withholdings?" and "When will I receive my W-2 for tax filing?" 3. **Know your rights** - Your employer is legally required to provide you with a paystub showing gross pay, all deductions, and net pay. In many states, this is mandated by law regardless of business size. 4. **Contact your state's Department of Labor** - They can investigate wage and hour violations and often have resources specifically for situations like this. Many have anonymous tip lines. 5. **Start setting aside money NOW** - Assume you'll owe taxes on your full gross income and save accordingly. Better to be prepared than caught off guard. The fact that you never filled out a W-4 is a major red flag. Don't let the fear of losing your job prevent you from protecting yourself financially. Your boss's evasive behavior suggests he knows he's not handling this properly.

This is a really concerning situation, and you're absolutely right to question what's happening. As someone who's dealt with payroll issues before, here are some red flags I'm seeing: 1. **No W-4 form** - This should have been the very first thing you filled out when starting work. Without it, your employer has no legal basis for withholding taxes. 2. **No paystubs** - Even the smallest businesses are required to provide documentation of what's being withheld from your pay. The fact that he's just writing personal checks without any breakdown is highly irregular. 3. **Evasive behavior** - A legitimate employer would be happy to explain their payroll process and show you exactly where your tax money is going. I'd strongly recommend starting with the basics: send your boss a text or email requesting copies of your W-4 and paystubs for all pay periods. Having this in writing creates a paper trail. If he can't or won't provide these basic documents, that tells you everything you need to know. Also, start calculating and setting aside about 25-30% of your gross pay for taxes, just in case. You don't want to be stuck with a huge tax bill if it turns out he's been pocketing your withholdings instead of sending them to the IRS. Your instincts are spot on - trust them and protect yourself!

For a $1.2M apartment building, I'd definitely recommend going with a specialized firm rather than DIY. The complexity and potential tax savings at that scale justify the professional cost. You're likely looking at $50,000+ in first-year tax savings, so even a $10K study fee makes financial sense. A few things to consider when choosing a firm: - Make sure they have engineers on staff (not just CPAs) - Ask for references from similar-sized properties - Verify they provide audit support if the IRS questions the study - Get a preliminary estimate of potential savings before committing The apartment building will have tons of components that qualify for accelerated depreciation - flooring, appliances, lighting fixtures, HVAC distribution, security systems, etc. A professional firm will catch items you'd never think to segregate and properly document everything to IRS standards. Your CPA was probably thinking of much smaller residential properties where a simplified approach might work. At your property's scale, you want the full engineering analysis.

I've been doing cost segregation studies for investment properties for about 8 years now, and I wanted to add some perspective on what you should expect. While the engineering component is crucial for larger properties, there are some legitimate middle-ground options that might work well for your situation. For apartment buildings in the $1-2M range, I've seen good results with firms that specialize in residential rental properties. They typically charge $4-7K and know exactly what to look for in multi-unit buildings - things like individual unit appliances, flooring transitions, mailbox systems, and common area improvements that can be depreciated over shorter periods. One thing to be aware of: the IRS has been scrutinizing cost seg studies more closely in recent years, especially for properties where the allocated amounts seem disproportionate to the property value. Make sure whoever you choose provides detailed documentation and can explain their methodology clearly. The timeline for a property your size is usually 4-6 weeks from start to finish, assuming you can provide all the requested documentation promptly. The firm will need purchase agreements, construction details, property photos, and any renovation records you have. Happy to answer any specific questions about the process - it's definitely worth doing right the first time rather than trying to fix issues later!

This is a great question, and you're smart to think about the tax implications upfront! Based on what you've described, the "gift in-kind" transfer is definitely your best option to avoid triggering capital gains for your parents while preserving the cost basis for you. A few additional considerations for your situation: Since the original $8,500 came from your grandparents, make sure you have documentation of that initial gift. This could be helpful if there are ever questions about the source of funds, especially given the significant appreciation. Given that the current value is around $105,000, your parents would need to file Form 709 (gift tax return) since it exceeds the annual exclusion limits, but as others mentioned, they almost certainly won't owe any actual tax due to the lifetime exemption. One strategic point: if you're planning to sell any of these positions soon after the transfer, you might want to coordinate with your parents on which specific lots to transfer first. If they're in a lower tax bracket than you'll be in, it could make sense for them to realize some gains before the transfer. Also, contact both your brokerage and your parents' brokerage before starting the process. Some firms are more efficient at these transfers than others, and you'll want to confirm they can properly transfer all the cost basis information - this is crucial for your future tax reporting. The whole process typically takes 2-3 weeks once all paperwork is submitted, so plan accordingly if you have time-sensitive investment decisions you want to make.

This is such a common situation and you're absolutely right to think about the tax implications before proceeding! The gift-in-kind transfer is definitely your best bet here. One thing I'd add to all the great advice already given - make sure to get a written valuation of the stocks on the date of transfer. This establishes the fair market value for gift tax reporting purposes on Form 709. Your parents' brokerage should be able to provide this automatically, but it's worth confirming. Also, since you mentioned wanting to make changes to the holdings once you have control, consider whether you want to transfer everything at once or stagger it. While transferring all $105k at once is totally fine (just requires the gift tax filing), if you only need access to a portion of the investments immediately, you could do $38k this year (within the combined annual exclusion from both parents) and the rest next year to avoid any gift tax paperwork altogether. The cost basis transfer is really the key benefit here - you'll inherit their original purchase prices and dates, so you'll only pay capital gains on the appreciation that happens after you receive the shares. Much better than having them sell and give you cash! Good luck with the transfer - sounds like you have supportive parents who want to do right by you.

Careful with Mexican tax authorities! They've gotten much more strict in recent years. My friend is a permanent resident there and thought he only needed to report Mexican income, but got hit with a huge penalty for not declaring his US pension and rental properties. If your mom decides to use the "non-domiciled" approach mentioned above, make sure she has VERY clear documentation proving her stronger ties to the US. They look at factors like where family lives, where most valuable property is, main source of income, etc.

This is such a complex situation that affects so many Americans with ties to Mexico! I've been dealing with similar issues as a US citizen who recently got permanent residency in Mexico. One thing I learned the hard way is that timing matters a lot for when you become a Mexican tax resident. The rules changed in recent years - now if you have permanent residency status, you're generally considered a Mexican tax resident regardless of how many days you spend there, unlike the old 183-day rule. For your mom's situation, I'd strongly recommend getting clarity on her exact tax residency status in Mexico BEFORE she starts earning rental income there. It's much easier to plan the structure correctly from the beginning than to fix it later. Also, don't forget about FBAR reporting requirements in the US if she opens Mexican bank accounts for the rental property. Any foreign financial accounts over $10,000 need to be reported to FinCEN, and the penalties for missing this are severe. The Mexican tax system can be quite different from what we're used to in the US - things like how depreciation works, what expenses are deductible, and timing of when income is recognized. Having both a good Mexican accountant AND a US accountant who understands international issues is really worth the investment.

Has anyone dealt with rental income specifically across borders? I'm wondering about vacation rental platform payments (like Airbnb) - does it matter if the payments go to a US bank account vs Mexican account? Does that change where the income is considered sourced from?

This is such a helpful thread! I'm dealing with something similar for my sister who just got her Mexican permanent residency but still works remotely for a US company. One thing I learned from our tax attorney is that the timing of when your mom establishes her tax residency status in Mexico matters a lot. If she files the declaration for US primary tax residence early in the tax year, it can help avoid complications later. Also, since she's starting the vacation rental next year, now would be a perfect time to set up proper record-keeping systems for both countries. The Mexican tax authority is getting much more sophisticated about cross-referencing rental platform data (Airbnb, VRBO, etc.) with tax filings. Having clean books from day one will save headaches later. For the rental property specifically, make sure she understands the depreciation rules in both countries - they're calculated differently and this can affect her overall tax strategy significantly.